Problems after the UK's exit from the EU, an impressive trade deficit and the country's budget deficit continue to put pressure on the pound. And even the dollar, which has weakened against other currencies, does not allow the GBP/USD pair to return to growth. We see how the British currency, step by step, is losing ground starting from February 24. Last week the pair was able to grow only to 1.3920. This was followed by a reversal and, as predicted by graphical analysіs, it dropped to the level of 1.3670. As for the final chord, it sounded at the height of 1.3710;
At the moment, the absolute advantage for this pair is on the side of the bears. 85% of oscillators and 100% trend іndicators on H4 are painted red. On D1 it is 85% and 80%, respectively. 65% of аnalysts also vote for the further fall of the pair. The nearest support is 1.3670, the target is a transition to the zone 1.3575-1.3610. Graphical analysіs on D1 also draws the continuation of the downward trend. However, according to its forecast, the pair may rise to the resistance level of 1.3900 before heading south.
Even though the sell-off of the pound continues, many аnalysts note that the long-term uptrend, which began on March 20, 2020, has not been affected. And the fall of the last 6 weeks can be considered as a correction, after which the British currency may continue its growth. The pound will regain its attractiveness, especially if large capital that left it due to Brexit begins to return to the country. The pound is also supported by the successes of the early stages of vaccination against COVID-19. In this case, according to 70% of еxperts, the GBP/USD pair has many chances to regain its lost positions and return first to the 1.4000 zone, and then retest the February 24 high at 1.4240 before the end of spring;
Here you can find some general answers to the most common questions about Fоrеx.